The importance of increasing your average order value (AOV)
Many businesses get stuck with Facebook Ads focusing on Cost Per Acquisition (CPA), the cost to acquire a customer.
I’m often asked when auditing an account ‘how can I get my cost down. Facebook is getting more expensive for me.’
CPA is the most challenging metric to focus on and I recommend switching the way you look at it. As more advertisers use Facebook to reach your audience you need to look at a much easier way to increase your revenue by adding more value for the customer. That is through increasing your average order value. (AOV)
If you follow my content you know we don’t like our clients discounting their products. And you shouldn’t either. Ways you can increase AOV and I recommend looking at in this order:
- Up Sell
- Cross Sell
- Bundle products together
- Offer guides to support the customer
These 4 are so important and often not given the attention they need. This is how we help our customers have success so they can reinvest in marketing, attract great customers and enjoy being in business.
- Loyalty program
- Free shipping (as part of a program or above a certain spend)
These are great too but dependant on your business plus everyone is doing free shipping now!!
#Sellingonline #Ecommerce #Facebookads #Instagramads